GBP futures: march south unabated

Preliminary figures for GBP futures markets provided by CME Group showed investors scaled back their open interest positions by nearly 1.7K contracts on Thursday vs. Wednesday’s 186,132 contracts. In the same direction, volume retreated significantly by more than 35.4K contracts.

GBP/USD: a test of 1.30 now picks up pace

Cable printed an ‘almost’ bearish engulfing candle on Thursday amidst a sharp pick up in the sentiment surrounding the greenback. The downside continues today with a breakdown of the key support at 1.3100 the figure and revived the prospects for a potential visit to the psychological handle at the 1.3000 handle.

This view is reinforced by declining price action against the backdrop of falling volume and open interest, all indicative of liquidation of GBP longs by market participants.